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In this video tutorial, the importance of service agreements for newbies in the contracting business is emphasized. When landing a new contract, the hiring company will typically request various documents such as insurance information, EIN number, and W9 form. It is crucial not to overlook the importance of protecting oneself by providing a service agreement to ensure both parties are clear on expectations and responsibilities. Rushing into work without a proper agreement can leave one vulnerable to potential issues in the future.